Semen Gresik keen to retain 2004 profit

31 May 2005

The management of state-owned cement maker PT Semen Gresik said it has proposed to retain 60 per cent of its net profit earned in 2004. The management wants to retain the profit to finance the construction of a new cement plant valued at around US$350m, its President Satriyo said. Satriyo said 30 per cent of the funds will be in equity and the rest in loans. He said the government as the main shareholder is yet to make a decision on the proposal. He said the new factory, which will have an annual production capacity of 2.5 million tons, is scheduled to come on line in 2009. The company plans to issue bonds to help finance the projects in 2008, he added.
Published under Cement News